Financial Performance Highlights
Madras Fertilizers reported a net profit of ₹80.42 crore for FY26, representing a 25.17% increase from ₹64.25 crore in FY25. Revenue from operations stood at ₹2,300.35 crore, primarily driven by government subsidies totaling ₹1,907.76 crore (including urea price subsidy of ₹1,834.78 crore and freight subsidy of ₹71.57 crore). Other income contributed ₹73.20 crore, mainly from interest income of ₹52.05 crore. The company maintained positive cash flow from operations of ₹7.04 crore and ended the year with a cash balance of ₹141.91 crore.
Balance Sheet and Liability Position
The company's balance sheet shows property, plant and equipment of ₹391.76 crore (net block), investments of ₹574.65 crore (primarily in Indian Potash Limited), and subsidy receivables of ₹468.64 crore. Significant liabilities include borrowings of ₹634.24 crore (including GOI loans of ₹554.24 crore) and other financial liabilities of ₹1,073.30 crore. The company has defaulted on GOI loan repayments totaling ₹1,554.53 crore (principal ₹554.24 crore + interest ₹1,000.29 crore) and has sought waiver and conversion to zero-interest borrowings as part of a revival package submitted to the Department of Fertilizers.
Contingent Liabilities and Commitments
Contingent liabilities amount to ₹1,063.45 crore, including tax disputes of ₹331.51 crore, penalty interest on GOI loans of ₹443.33 crore, and various claims from contractors and employees. Capital commitments stand at ₹41.93 crore for contracted expenditures not yet recognized.
Annual General Meeting Details
The 60th AGM will be held virtually on September 24, 2026, with eight resolutions including adoption of financial statements, reappointment of three NICO nominee directors (Mohammad Bagher Dakhili, Babak Bagherpour, Samieh Kokabi), appointment of two new independent directors (Ravada Satyanarayana, Dipesh Kumar), and authorization of auditor remuneration. Remote e-voting will be available through NSDL from September 21-23, 2026, with results to be declared post-meeting and displayed on company and NSDL websites.
Operational and Corporate Updates
The plant produced 490,686 MT of Urea and 299,868 MT of Ammonia in FY26. No dividend was declared due to accumulated losses, and the credit rating was reaffirmed as 'CARE BB+; Stable' for long-term and 'CARE A4+' for short-term borrowings. The company spent ₹1.07 crore on CSR activities against the required ₹2.33 crore, focusing on welfare initiatives for CAPF & CMPF veterans and nano urea research through ICAR.
Compliance and Governance
The disclosure confirms compliance with Companies Act, SEBI regulations, and secretarial standards. All relevant documents are available for inspection at the registered office and company website. The Board is led by Chairman & Managing Director Manoj Kumar Jain, with financial statements audited by Sundar Srini & Sridhar, Chartered Accountants.